When People Have Diminishing Marginal Utility, They Have a Preference

question 27

Multiple Choice

When people have diminishing marginal utility, they have a preference for

• A)risk smoothing.
• B)risk pooling.
• C)risk premium.
• D)risk aversion.

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Definitions:

Mnemonics

Memory aids, especially those techniques that use vivid imagery and organizational strategies to enhance recall.

Pragmatics

(1) The practical knowledge needed to use language for communicative purposes. (2) The social context of language.

Code Switching

The practice of alternating between two or more languages or dialects within a conversation.

Semantics

The branch of linguistics concerned with the meaning of words and language.